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Gen Bus Dec 2012 - "Unconventional Funding Paths for Entrepreneurs"

Gen Bus Dec 2012 - "Unconventional Funding Paths for Entrepreneurs"

Gen Bus Dec 2012 - "Unconventional Funding Paths for Entrepreneurs"

Excerpt


Unconventional Funding Paths for Entrepreneurs


The traditional path to fund a small business startup is to use personal savings and so-called sweat equity, followed by seed money from personal contacts, bank and Small Business Administration loans, and ultimately angel investors and venture capitalists. But with today’s credit crunch, the traditional path for financing is becoming more and more difficult to follow. Perhaps in response to these difficulties, other funding methods have become increasingly available to entrepreneurs, including microlending, crowdfunding and alternative lending companies. These unconventional financing vehicles do have risks, but some of their impressive success stories indicate that these can be worthwhile avenues to explore.


 


 


 




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